Sunday, May 24, 2009

ECRI: Green Shoots Will Blossom This Summer

NEW YORK (Reuters) - A measure of U.S. futuree conomic growth inched higher in the latest week, while its yearly growth rate continued to climb toward positive territory. The Economic Cycle Research Institute, a New York-based independent forecasting group, said its Weekly Leading Index (WLI) edged up to a 29-week high of 111.1 for the week ending May 15 from 111.0 the prior week. The index's annualized growth rate reached a 35-week high of minus 11.5 percent from last week's rate of minus 13.6 percent. It was the highest yearly growth reading since the week ended September 12, when it stood at minus 11.4 percent (see chart above, click to enlarge). "With WLI growth rising steadily to a 35-week high, it is increasingly obvious that the 'green shoots' will blossom this summer," said Lakshman Achuthan, managing director at ECRI.